Katayama Signals 25% GPIF Allocation Review as Yen Hovers Near 162
Updated
Updated · CNA · Jul 16
Katayama Signals 25% GPIF Allocation Review as Yen Hovers Near 162
3 articles · Updated · CNA · Jul 16
Summary
Katayama told parliament stronger growth potential from the government's investment-led policy shift could justify a review of state pension fund asset allocations.
GPIF now targets 25% each in domestic bonds, foreign bonds, domestic equities and foreign equities, with domestic bonds allowed to deviate by 6 percentage points.
Katayama repeated that Tokyo wants to encourage more investment in Japanese financial assets but said the government cannot intervene in or force pension funds' decisions.
The remarks revive market focus after her earlier comments lifted the yen and Japanese government bonds, even as Reuters reported this week there is no immediate plan to change GPIF's target mix.
She also reiterated Japan's readiness to act on foreign exchange moves as the yen traded around 162 per dollar, linking longer-term currency confidence to stronger economic competitiveness.